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File #: 39886    Version: 1 Name: Authorizing the City to enter into Use Agreement with Big Top Events LLC for the management of concessions, alcohol, events and facility operations at Breese Stevens Stadium for 2015-2022 (2nd Ald. Dist.)
Type: Resolution Status: Passed
File created: 8/25/2015 In control: BOARD OF ESTIMATES (ended 4/2017)
On agenda: 12/1/2015 Final action: 12/1/2015
Enactment date: 12/4/2015 Enactment #: RES-15-00917
Title: Authorizing the City to enter into Use Agreement with Big Top Events LLC for the management of concessions, alcohol, events and facility operations at Breese Stevens Stadium for 2015-2022 (2nd Ald. Dist.)
Sponsors: Ledell Zellers, Samba Baldeh, Mark Clear
Attachments: 1. TLNA Big Top Events Letter of Support.pdf, 2. Breese Stevens Use Agreement Update.pdf

Fiscal Note

The annual facility rental payments range from $8,000 in 2016 to $42,000 in 2022, averaging approximately $27,000 per year ($188,000 over the seven year life of the agreement).  The City will save approximately $27,500 annually in utility costs which will be reimbursed by BIG TOP EVENTS LLC ($190,000 over the seven year life of the agreement).  These funds will be deposited in the Parks Division Operating Budget to offset expenditure and service delivery growth.  The agreement has no impact on the $10,000 annually paid by the Madison Metropolitan School District to the Parks Division for the use of Breese Stevens Stadium. 

 

The agreement also provides for a contribution of at least $100,000 in capital funding.

 

The total value of the seven year agreement is approximately $478,000 plus the added value of additional staff time that will not be needed to manage the day to day operation of the facility.

 

If the agreement is mutually agreed to be extended, the value to the City would be another $150,000 in utility savings, $250,000 in facility use fees, and another $100,000 in capital investments for a total of $500,000 plus the added value of additional staff time that will not be needed to manage the day to day operation of the facility.

 

Title

Authorizing the City to enter into Use Agreement with Big Top Events LLC for the management of concessions, alcohol, events and facility operations at Breese Stevens Stadium for 2015-2022 (2nd Ald. Dist.)

 

Body

WHEREAS, the City of Madison believes it is in the public’s interest to afford the citizens of the City an opportunity to attend, participate in, and view athletic, sporting, concert, and special events at historic Breese Stevens Stadium in the rapidly developing East Washington corridor; and

 

WHEREAS, the City recognizes the considerable knowledge and specialized skills required to successfully operate a multi-use Stadium facility; and

 

WHEREAS, the City issued RFP# 8424-0-2015/DA to request proposals for the facility, catering and event management operations for Breese Stevens Stadium; and

 

WHEREAS, Big Top Events LLC submitted a proposal to manage the concessions, alcohol, event management and facility operations of Breese Stevens Stadium; and

 

WHEREAS, Big Top Events LLC is owned and managed by individuals with significant positive experience in partnering with the City of Madison in promoting a positive and active location for customers; and

 

WHEREAS, Big Top Events LLC, is committed to ensuring a positive environment for the surrounding neighborhood; and

 

WHEREAS, Big Top Events LLC has worked with the City to establish terms and conditions of operating the facility that are responsive to the City’s interest in promoting a positive activity center for the East Washington corridor, including establishing numerous pioneering standards of operation; and

 

WHEREAS, the Parties wish to formalize the terms and conditions under which the Big Top Events LLC is authorized to use the Stadium; and

 

WHEREAS, City and Big Top Events LLC recognize the value of existing user groups, especially Madison East High School, and the importance of accommodating these users to ensure a positive and active facility; and 

 

WHEREAS, the Agreement provides significant financial benefits to the City by reducing utility costs, providing additional resources towards capital needs at the facility, and ensuring a continued diversification of revenue that fund Parks Division operations.

 

NOW, THEREFORE, BE IT RESOLVED that the Mayor and City Clerk are authorized to enter into a Use Agreement with Big Top Events LLC to allow Big Top Events LLC to manage concessions, alcohol, events and facility operations at Breese Stevens Stadium; and, 

 

BE IT FURTHER RESOLVED that the agreement shall be the 2015-2022 calendar years with one mutually agreeable five-year renewal period for the 2023 through 2027 calendar years, on a form and in a manner that has been approved by the City Attorney and Risk Manager and on terms consistent with the attached Use Agreement.